China's coal output is expected to reach 2.6 billion tons in 2010, as it continues to be the nation's most important energy resource.

Despite the nation's economic restructure, technological innovation and energy-saving efforts, demand for coal will continue to grow, fueled by the steel and construction materials industries and the emerging coal-chemical sector, according to the outline of the 11th Five-Year Plan (2006-10) for the coal industry.

The outline, released by the National Development and Reform Commission yesterday, identifies the major task for the coal industry as improving the geographic distribution of coal and macro-adjusting the total output.

Shanxi and Shaanxi provinces and the Inner Mongolia and Ningxia Hui autonomous regions remain the major sources, and production in these areas should be expanded, according to the outline.

More large-scale coal production bases will be established. The nation will develop six to eight coal-mining groups, with an output of 100 million tons, and 8 to 10 companies with an output of 50 million tons. By the end of the previous five-year plan (2005), there were two firms with an annual output of 100 million tons and three firms with an output of 50 million tons.

In the meantime, the outline said potentially hazardous small-sized coal mines with poor energy performance should be closed down.

It also said that of the total output of 2.6 billion tons in 2010, 1.45 billion tons is expected to come from large-scale mines, accounting for 56 percent of output; 450 million tons will come from medium-sized mines, or 17 percent of the total; and less than 700 million tons from small mines, or 27 percent.

China will also further reduce the number of coal mining accidents, aiming to lower the death rate to below 2 per 1 million tons from 2.711 at the end of 2005. The figure for last year was 2.04 deaths per 1 million tons.

Technological innovation will be further enhanced under the plan. It said the mechanization rate should be above 95 percent at large-scale mines, 80 percent at medium-sized mines, and 40 percent at small mines.